Payroll help

[jcnixon]

I will be adding a new employee in the near future who lives and works in another state, so I will have to withhold his state income taxes.

I subscribe to PT Tax service so I have all the 2003 global tax tables. Do I have to copy the the corresponding state tax formulas from the global tax tables into my company tax tables in order for them to work?

I have tried a dummy employee and payroll entry using the new state income tax codes to see if I had things set up correctly and the state taxes do not deduct. I am guessing it is because I do not have the tables in my company tax tables. I thought that PT checked both global and company tax tables when processing payroll, but maybe I am wrong. No matter what I do, the state income taxes do not get deducted. Would apprecitate any input.

Thanks,
Jan

[Holland]

Look in peachtree help "Multiple State Withholdings". You have to go through several steps so that more than one state is recognized. I do not believe you have to put the actual state formulas in your company tax file, but the state unemployment formulas do have to be there.

[jcnixon]

I have been through the 'multiple state withholding' instructions several times and I still cannot get the deductions to work. I have made sure that the default state is blank and that the tax name is **SIT on the EmployEE field tab so that PT will search for all states. Also entered into company tax tables the appropriate SUI formula for the new state. Then I set up the dummy employee with the state I am trying to withold for, put in their state/locality for the new state, checked as 'std' the EmployEE field for **SIT. Then I run a 'dummy' payroll entry using this employee. It picks up the ERSUI formula but does not deduct the state income tax. I am at a loss.

[Holland]

I think you have the default employee information set up correctly, but not the individual maintain employee boxes.

The tax name in EE should be the state tax formula for that employee, not **SIT. If you are tracking the amount withheld in a separate GL account for that state, uncheck STD and put in the proper GL account.

If I've misunderstood how you have the EE set up let me know and I'll look again.

[jcnixon]

Thanks for the reply. I have tried what you suggested before, but just in case I missed something, I tried it again, still no luck.

For the employee/state in question I have the employee set up so his filing status on the general tab indicates his state under state/locality. Then on the EE fields tab I unchecked STD box and used the state specific code under Tax Name, Calc box is checked. I save the employee then ran a dummy payroll entry, still does not deduct the state income tax.

If you have any other ideas, I would appreciate hearing them. Thanks for the input.

[Holland]

Did you in any way alter the state tax formula in the global tax tables (not the SUI formula)but the actual state tax withholding formula? That one should still have the state ID in the box under Government, State, not "all states".

[jcnixon]

No, I have not altered the global SIT formula. I did enter a company tax table formula for the SUI and that works fine, but the global SIT does not work, it is exactly the way it came on the 2003 Tax Update CD. It is sounding like I am going to have to break down and call PT support. I really hate to do that, but I am running into walls trying to get this resolved. Again, thanks for continuing to try and help!